While Alaska was the first state to legalize cannabis consumption lounges in 2018, California saw the opening of the nation’s first social cannabis lounge, Original Cannabis Café, in 2019. Many states are now following suit, establishing their own regulations for social cannabis consumption.
States with Legal Cannabis Consumption Lounges
As of now, 12 states and the District of Columbia have legalized social cannabis consumption to varying degrees: Alaska, California, Colorado, DC, Illinois, Maryland, Michigan, Minnesota, Missouri, Nevada, New Jersey, New Mexico, and New York.
State-by-State Breakdown
- Alaska:
- In 2018, Alaska became the first state to legalize on-site cannabis consumption at licensed retailers.
- The first two cannabis dispensaries to receive state approval for on-site consumption opened in 2020.
- California:
- A 2018 reform allowed local jurisdictions to permit on-site cannabis consumption at retail and microbusiness locations.
- In 2022, a limited number of lounges were operating, primarily in San Francisco and Oakland.
- More recently, various municipalities have issued permits for cannabis consumption locations.
- A 2023 bill proposed allowing lounges to sell non-cannabis food and beverages and host entertainment events.
- Colorado:
- The state legalized cannabis hospitality businesses in 2019, allowing local jurisdictions to opt-in.
- Denver was the first city to issue licenses for cannabis hospitality establishments in 2022.
- In 2021, Denver also legalized “mobile hospitality unit” licenses for cannabis consumption.
- District of Columbia:
- Medical cannabis patients can consume products on-site at licensed retailers.
- Illinois:
- Local governments can authorize “bring your own cannabis” (BYOC) consumption lounges.
- The first legal cannabis consumption lounge, Luna Lounge, opened in Sesser in 2021.
- In 2022, the first Chicago-area lounge opened in Lake County.
- In 2023, Wheeling approved the first recreational consumption lounge in Cook County.
- Maryland:
- Maryland allows BYOC cannabis cafes but restricts on-site sales.
- A 2023 law allows for 15 “designated-use” cannabis establishments.
- The state’s first cannabis lounge opened in Burtonsville in 2023.
- Massachusetts:
- A 2019 pilot program for cannabis cafes was later dropped in favor of a broader licensing framework.
- Michigan:
- Licensed “designated consumption establishments” allow on-site cannabis consumption.
- Cannabis products cannot be sold on-site but can be brought in or ordered from nearby dispensaries.
- The first recreational cannabis lounge opened in 2022.
- Minnesota:
- Microbusinesses can allow on-site consumption of edible cannabis products.
- Missouri:
- Medical marijuana patients can consume products in enclosed private spaces at public places.
- Cannabis products cannot be sold on-site but can be brought in or ordered from nearby dispensaries.
- Nevada:
- A 2021 law authorized the state to license and regulate cannabis consumption lounges.
- The state plans to issue up to 65 lounge licenses, with 10 reserved for social equity applicants.
- As of June 2023, Nevada regulators have approved the first three cannabis consumption lounges.
- New Jersey:
- Cannabis lounges require both state and local approval.
- Lounges must be located on the same property as a retail dispensary.
- Jersey City and Atlantic City have approved ordinances allowing for consumption lounges.
- New Mexico:
- Local jurisdictions can permit cannabis consumption areas under specific conditions.
- As of July 2023, the state has approved nearly 20 consumption lounges.
- New York:
- The state legalized cannabis lounges, but their operation depends on local approval.